The royalty payments from Freeport are expected to increase by 24.64% in 2024.

PT Freeport Indonesia (PTFI) reported that the company paid royalties to the Indonesian government amounting to US$445 million in 2024.

Assuming an exchange rate of Rp16,897 per US$, the royalty payment is equivalent to Rp7.51 trillion.

This value also increased by 24.64% from the same period the previous year (year-on-year/yoy) by US$357 million.

Historically from 2010-2024, the 2024 payment is the highest.

In its notes, PTFI claimed to have invested US$18 billion, including US$11 billion for the development of the underground mine.

In addition, it contributed to the country's gross domestic product (GDP) of more than US$71 billion since 1992.

Freeport's Operational Extension

According to Katadata, Freeport McMoRan secured an extension of PTFI's mining rights in Papua until 2061.

Minister of Investment and Downstream Industry Rosan Perkasa Roeslani said the agreement paves the way for Freeport to increase its investment in Indonesia by around US$20 billion (Rp337.6 trillion, at an exchange rate of Rp16,880/US$) over the next 20 years.

"Freeport can increase its investment by approximately US$20 billion over the next 20 years, and this will also have a positive impact, both in terms of tax revenue and other aspects," said Rosan at an online press conference on Friday (20/2/2026).

Rosan said that the agreement will soon be followed up with a definitive agreement.

On the same occasion, Coordinating Minister for Economic Affairs Airlangga Hartarto said that the development of critical minerals is one of the main pillars of the bilateral economic agreement between Indonesia and the United States.

"In addition to trade and other investments, there is the development of critical minerals, namely the extension of Freeport McMoRan's contract from 2041 to 2061," said Airlangga.